$92 MILLION NAVY AD ACCOUNT STAYS WITH CAMPBELL-EWALD

Media Strategy Expanded to Include Video Games and Cellphones

WASHINGTON (AdAge.com) –- The U.S. Navy is staying with its incumbent advertising agency, Interpublic Group of Cos.’ Campbell-Ewald, Warren, Mich., following a review.

The Navy is adding video-game and cellphone strategies to the advertising mix it uses to lure teenage recruits.

Up to $468 million
The nearly $92 million Navy contract is for a single year, but is renewable for up to five years and potentially worth $468 million. Campbell-Ewald has held the contract since 2000 and has used the “Accelerate your life” theme in advertising.

While TV ads are a part of the marketing program, the Navy, like other military services, spends the bulk of its money on a range of activities from event sponsorship to direct mail, all of which the agency produces.

Game and phone ads
Jim Palmer, the agency's president-managing director, said the tagline won’t change, but the Navy will shift some of its resources. “We will be staying with 'Accelerate your life’ but are making significant change in media. Gaming and cellphone technology will be added to the traditional mix,” he said.

The latest victory for Cambell-Ewald -- the other shops in the review were never identified -- is prompting the agency to open a Washington office to handle the account, as well as those of the U.S. Postal Service and other government business.

Washington office
“We continue to see this as a growth area, getting in town,” Mr. Palmer said. Jeff Seregny, exec VP-account director, will move to Washington to run the office.